Agritech start-up Kisankonnect has raised 31 core (approximately $3.75 million) in a pre-series A funding round led by Green Frontier Capital (GFC), a climate tech-focused fund. Dhanuka Agritech Limited, a prominent crop protection company in India, and other participants, including VC Grid and family offices, also joined the funding round.
The Ahmednagar-based company plans to utilise the funds to expand its initiatives in climate-smart agriculture with its network of 5,000 farmers. Additionally, it aims to enhance its technology for fresh produce supply chain management and establish new farm stores, building upon its existing presence in Mumbai and Pune, the company said.
“The wastages are reduced significantly which ensures fair prices for farmers and consumers both, while helping reduce carbon emissions in the agri supply-chain,” Vivek Nirmal, co-founder and CEO of Kisankonnect, said.
“We are pleased to partner with GFC and Dhanuka and other ESG Tech-focused investors in our journey of strengthening our community of farmers by implementing interventions for soil improvement, reduced usage of chemical fertilizers and pesticides, and improving farm productivity. Our extensive work on the farm front also benefits our consumers, as they get safer produce to consume,” Nirmal added.
Founded in 2020, the agritech sources directly from farmers and employs a digital-to-consumer (D2C) app and farm stores to deliver fresh produce to over 1 lakh customers in Mumbai and Pune. The company collaborates closely with the farming community to promote sustainable agricultural practices and employs in-house technology for efficient delivery.
The company also offers curated agri-produce and hand-made snacks through categories such as 'Village Staples' and 'Mom’s Kitchen,' produced exclusively by rural women in a hygienic central kitchen. In May 2023, the start-up received undisclosed funding from celebrity Shilpa Shetty in its angel round.
After experiencing robust growth in the fiscal year 2021-22, investments in agritech start-ups have begun to decline, as indicated by the report titled 'India's Unfolding Agri-Tech Story: Updates and Emerging Themes in India's Agricultural Technology Sector,' conducted by consulting firm FSG.
The report further highlights that investments witnessed a 45 per cent decrease between the fiscal years 2021-22 and 2022-23. It projects a resurgence in funding in FY25, with start-ups shifting their focus toward profitability to navigate the challenges of the next financial year.
